Asian markets got hit hard today. Trading was suspended in Jakarta after it fell 10%. From the BBC:
Asian markets have plummeted amid fears that the financial crisis will prompt a prolonged global downturn.
Japan’s Nikkei index closed down 9.4% – falling 952.58 points to its lowest close since June 2003 – taking losses over the past fortnight to 24%.
The Nikkei closed at 9,203 points. Hong Kong’s Hang Seng index was 5.5% lower. Australia’s key index lost 5%.
This is now a global crisis. We are headed for massive government interventions into the markets across the globe to prevent a free fall and to restore confidence in the credit and financial markets. The dangers of a global recession appear to be very real.
Mash, check out Americablog. They’ve just linked to an article in which the U.S. might have to nationalize up to 19 major banks and a few regional ones.
Economic socialism — brought to you by free market Republicans.
Robbie, just read the NYT article. I think that is definitely the direction we are headed. Things are looking pretty bleak right now. Why is it that free market idealogues always end up having to go socialist! Is it because their extremism ignores reality until it smacks ’em in the face?